Grocery growth is still possible, but it’s becoming harder to earn. That is one of the clearest takeaways from McKinsey’s 2026 State of Grocery North America Report, a detailed analysis based on shopper research, executive input and market data.
The report found that grocery sales increased 1.2% in 2025, but that growth was driven by 2.2% price increases while volume declined 1.0%. Shoppers are still buying groceries, but they are making more deliberate choices.
After reviewing McKinsey’s 2026 State of Grocery North America Report, here are three key takeaways and how grocers can make the most of them.
1. Fresh Is Still a Store Differentiator
Fresh remains one of grocery’s strongest ways to earn loyalty. McKinsey reports that 35% of consumers have switched stores because they were dissatisfied with fresh-food quality, while 42% are more likely to buy additional packaged items when purchasing fresh or prepared foods.
That makes the produce department especially important. A strong fresh presentation signals quality across the store. The produce section sets the tone for the broader shopping experience, making it a key first impression.
Make sure this first impression is a good one. SpaceGrid® II is designed to keep products front-facing and organized. Available in narrow, standard and wide tray options, each tray keeps fresh packaged salads, greens, herbs and fresh-cut veggies organized and ready to shop.
Learn more about improving your produce department experience using eye-catching displays, freshness management and convenience-focused merchandising. The right first impression from fresh foods improve customer perceptions and trust throughout the rest of their shopping experience.
2. Value Needs to Be Clear & Consistent
Value remains one of the biggest competitive battlegrounds in grocery, but shoppers are looking beyond occasional deals. McKinsey found that 51% of consumers are reducing impulse purchases, 47% are trading into private label and 43% are relying more on promotions. At the same time, 71% prefer lower, more consistent everyday pricing over frequent promotions with higher base prices.
For retailers, value has to be easy to recognize. Pricing, promotions, private label brands and loyalty programs need to work together so shoppers can quickly understand why a store is worth choosing.
Merchandising also plays a role in making value easier to recognize at the shelf. When products are organized, visible and simple to compare, shoppers can more quickly identify the items, promotions and private label options that fit their budgets. Solutions like ShelfHero and SpaceGrid II help grocers improve shelf presentation, reduce disorganization and support a more consistent shopping experience across key departments.
3. Wellness Is Changing the Basket
The wellness category is another growing force in grocery. Shoppers are becoming more specific about what they want, from high-protein options to lower-sugar choices, gut health, energy and heart health. While healthier eating has been on the up and up over the years, it has grown faster amongst the popularity of GLP-1s.
For stores, wellness is partly about assortment. It is also about merchandising. Fresh produce, prepared foods, refrigerated snacks and better-for-you packaged items need to be easy to find, compare and shop. Merchandisers like SpaceGrid II have a clear lens that won’t cover product packaging, making labels easier to read at a glance and without opening the refrigerator doors. This intuitive design helps shoppers make faster buying decisions as they look for options that support goals like higher protein or lower sugar.
Retail Space Solutions can help grocers bring wellness priorities to life at the shelf. In refrigerated and frozen categories, SpaceGrid II and ShelfHero support cleaner presentation and faster product identification for health-conscious shoppers.
Bringing the Trends to Life in Store
The grocers best positioned for 2026 will be the ones that turn strategy into a better store experience: clearer value, stronger fresh departments and better wellness cues. These strategies don’t require an overhaul. Small adjustments and merchandising improvements can have a large impact.
Learn how Retail Space Solutions helps grocers improve product presentation, simplify restocking and create a stronger in-store experience with merchandising solutions designed to keep fresh, refrigerated and frozen categories organized, visible and easier to shop.
